Italy fines Amazon €1.13b for competition abuses

Italy's antitrust regulator on Thursday fined online retail giant Amazon 1.13 billion euros for competition-related abuses. It is among the biggest antitrust fines ever levied in Europe, reported Xinhua.

Italy's Competition and Market Guarantor (AGCM) alleged Amazon's Italian subsidiary had used its strong position to force retailers to use its logistics service.

AGCM said Amazon only allowed retailers that signed up for the "Fulfilment by Amazon" logistics service option to use the "Amazon Prime" label.

"Amazon Prime" is the retailer's loyalty program, which increases visibility and boosts sales to its 7 million members.

Amazon told reporters it "strongly disagreed" with the AGCM ruling and would appeal. It called the fine "unjustified and disproportionate."

An Amazon spokesperson told Xinhua that half of the company's annual sales come from small- and medium-sized retailers that do not use the "Fulfilment by Amazon" option.

"We support the growth of the 18,000 [small- and medium-sized retailers] that reach consumers via Amazon.it," the spokesperson said. "That is true for retailers who manage their own shipments or who use our services in that area."